R&D internationalization is an important phenomenon. It involves the global allocation of a precious resource for national economies. The reason for this Report is that there is a strong feeling, based on partial evidence, that Europe is not taking part as it should do in the global knowledge economy game. For example, the share of US overseas R&D expenditures in Europe is declining while its share of overseas R&D expenditures in other countries (particularly in Asia) is increasing fast. Peculiar policy measures targeted specifically to turning R&D internationalization to the benefit of particular countries or regions are difficult to ascertain. We have observed that the policy toolbox overlaps, to a large extent, with the more generic ones that aim to enhance R&D capacities and innovation systems. However increasing R&D mobility reinforces the importance of some policy axes. This Report thus reviews and underscores the importance of these R&D investment-related policy axes.